HF 4168

as introduced - 84th Legislature (2005 - 2006) Posted on 12/15/2009 12:00am

A bill for an act
relating to taxation; providing a personal property tax exemption and a sales tax
exemption for construction materials used for an electric generating facility;
amending Minnesota Statutes 2004, sections 272.02, by adding a subdivision;
297A.71, by adding a subdivision.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

Minnesota Statutes 2004, section 272.02, is amended by adding a
subdivision to read:

new text begin Subd. 84. new text end

new text begin Electric generation facility; personal property. new text end

new text begin Notwithstanding
subdivision 9, clause (a), attached machinery and other personal property which is part
of a 10.3 megawatt run-of-the-river hydroelectric generation facility and that meets the
requirements of this subdivision is exempt. At the time of construction, the facility must:
new text end

new text begin (1) utilize between 12 and 16 turbine generators at a dam site existing on March
31, 1994;
new text end

new text begin (2) be located on land within 3,000 feet of a 13.8 kilovolt distribution substation; and
new text end

new text begin (3) be eligible to receive a renewable energy production incentive payment under
section 216C.41.
new text end

new text begin Construction of the facility must be commenced after April 30, 2006, and
before January 1, 2009. Property eligible for this exemption does not include electric
transmission lines and interconnections or gas pipelines and interconnections appurtenant
to the property or the facility.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for property taxes levied in 2006,
payable in 2007, and thereafter.
new text end

Sec. 2.

Minnesota Statutes 2004, section 297A.71, is amended by adding a subdivision
to read:

new text begin Subd. 37. new text end

new text begin Hydroelectric generating facility. new text end

new text begin Materials and supplies used or
consumed in the construction of a 10.3 megawatt run-of-the-river hydroelectric generating
facility that meets the requirements of this subdivision are exempt. To qualify for the
exemption under this subdivision, a hydroelectric generating facility must:
new text end

new text begin (1) utilize between 12 and 16 turbine generators at a dam site existing on March
31, 1994;
new text end

new text begin (2) be located on land within 3,000 feet of a 13.8 kilovolt distribution circuit; and
new text end

new text begin (3) be eligible to receive a renewable energy production incentive payment under
section 216C.41.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for sales and purchases made after
April 30, 2006, and on or before December 31, 2009.
new text end